Activist Investors: A Roar or a Bark?

8/19/2013 4:21PM

The debate has about activist investors taken on new urgency as high-profile activists such as Carl Icahn, William Ackman and Daniel Loeb have targeted the likes of Apple, J.C. Penney and Sony. Photo: AP.

This transcript has been automatically generated and may not be 100% accurate.

... the the ... welcome new stuff there at the shale I'm I'm Simon Constable what's the difference between a malign any thought ... on Wall Street is not so easy to say ... will Street dolls Francesco Guerrera joins us now to discuss this ... if the long waited for dawn ... so you've written is actually about activist investors once the book the bus and ... its online business the roaring and one is to spot the math that's right no medium ads that are the result much of Dell not know they might still I think that's the point of the moment Wall Street is people saying ... lionize in disguise and activist investor such as Saviour Aleman Ka like and then the globe ... um so you know those big eyes and shake up corporate America they happened again ... in a more subdued unto all men that get the share price is moving ... and other people aam a lot of people in Corporate magazine does does actually harmful in the long term the actions of too aggressively on the companies in the long to come to an outcome that would be because they want profits of expense investments is the least cost of the story ... that we have that consistently over the decades but if he wants ... to know if if if if if you want to land to to to ... to grow fangs Yukon just like to have the same property ... in a windowless top that NSA IDM the score for the common school to mark the left and who's the winner of Cooper advisor and he was saying ... looking to in the short term ... he may be good for the company may be good for the share price Menino long-term these boards these executives were getting into too much pressure to do things that don't work in the long run and that's ... that's the argument that that's really the debate is raging right now especially ... because these activists are getting a lot done in the end of an awesome and they don't get don't commingle on somebody around the price of being a public company if you want access to the capital ... that comes with a price spike on the price is that the day shareholders the public shareholders ... one returns right that that that's part of the you don't get the money could not and you don't get a site takes a morning Univeristy a kidney or capital and a zeal think about is that so if they don't like it has to go private precisely so that's the so ... the real scoop in the call me say Courtney Lachman Ina reflect the moment he was in effect the move when coal demand he said ... which is ... let's start with the redrawn laughing as I did spot to imagine him ... being in her eye and that is the more offensive than you think so ... and so he said ... I was looking into it and we can all do anything we got support together shuffle this right so and it's up to the shareholders if they like what we do not support this you don't like is that won support essential to a point that's how the company in the corporate world works ... and I think that's my point anyway so ... the kitty setup posted images most of spacing ecosystem a Wall Street and Corporate America and that ... the league as a testament not sometimes judges and women people of ... UFOs and the strong shareholder lawsuits I'm open to us as a major shareholder ... aam against companies' boards and managements in some judges of a free for me someone you don't like the stalks of what she brought back ... some fun with the kiddos also when these activists shoulders could just go and ... find a whole companies among them themselves if they think it can be caught in the one at the different I'm so so if you if you want the vs day that could fetch instead I think it would admit that the Dow can now say you know look you know we we don't do this we know that this is a private equity or the hostile takeovers we just wanna help companies help themselves and we do that when ... I buy small stakes in and giving ... very useful advice that so there was a ... very useful about suffering diplomat has met ... the full day with SEC regular nightly adjuster to write